2021 Child-Family Assistance Exception

Payments such as Family Assistance, Child Allowance, Child Benefit, which are among the rights provided to public employees, are frequently encountered in private sector workplaces. Family and child benefits can also be included in public economic enterprises, collective bargaining agreements and other employment agreements transferred to the private sector. Employers benefit from the advantages provided by SGK and Tax while payrolling these payments.

Child Allowance / Allowance Exception Figures – 2021 / 1st Period

Child benefit payments are not included in the earnings base for premium, in a way that does not exceed 2% of the monthly amount of the minimum wage by the SGK. The exception is per child, but it is limited to 2 children.

When the SGK exception amount is calculated over the 2021 minimum wage;

3.577,50 TL x % 2 = 71,55 TRY

If the amount of child allowance exceeds 71,55 TRY, the exceeding portion should be added to the basic earnings and the SGK premium and unemployment premium should be calculated over it.

The exception application on the income tax side is not determined over the minimum wage. The criterion here is determined as the civil servant salary coefficient. The income tax exemption figures calculated over the civil servant salary coefficient of _________ determined for 2021 are as follows:

 01.01.2021 – 30.06.202101.07.2020 – 31.12.2020
Child Hike/ Child Assistance SGK Exception71,5571,55
Income Tax Exception /6+ years41,45 
Income Tax Exception/0-6 years82,89  

When applying the income tax exemption, the amount of exception to be applied changes according to the age of the child. An exception of 82,89 TRY is applicable for children aged 6 and under, while an exception is 41,45 TRY for children over 6 years old.

Family Assistance Exception Figures – 2021 / 1st Period

Family assistance payments are not included in the earning base for premium, in a way that does not exceed 10% of the monthly amount of the minimum wage by the SGK. The amount exceeding this figure must be subject to SGK premium.

When the family assistance SGK exception amount is calculated over the 2021 minimum wage;

3.577,50 TL x % 10 = 357,75 TRY

The exemption on the income tax side in family benefits is only applied for public employees. There is no income tax exemption for family assistance payments to private sector workers.

 01.01.2021 – 30.06.202101.07.2020 – 31.12.2020
Family Hike/ Family AssistanceSGK Exception357,75 
Income Tax Exception *PUBLIC376,83 

About datassist

Check Also

Severance Pay Ceiling – 1st Term

One of the most important rights of the workers is the severance pay if the …

Leave a Reply

Your email address will not be published. Required fields are marked *